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A company is transitioning from a make-to-stock production environment to a finish-to-order production environment. Which of the following outcomes is most likely to occur as a result of the transition?
Suggested Answer: C
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12 comments · newest first
RO
Rodolfo
3 months ago
A seems unlikely. They should reduce inventory, not increase it.
JU
Junita
3 months ago
I agree, but D could also be important. Detailed forecasts help in planning.
MA
Marisha
3 months ago
I think C is the best choice. Phantom bills are crucial for finish-to-order.
EV
Evelynn
3 months ago
Yeah, I doubt that too. Finish-to-order usually means lower stock.
KE
Kenny
3 months ago
Increased inventory levels? Not likely with finish-to-order.
LA
Latosha
4 months ago
Wait, are we sure less training is needed? That seems off.
AV
Avery
5 months ago
Agree, planning bills of material will be crucial in this shift.
YO
Yolande
5 months ago
I think forecasts will definitely need to be more detailed.
GR
Gracia
6 months ago
I’m leaning towards C as well, but I wonder if they might actually need more training in the centers instead of less.
TA
Tamesha
6 months ago
I'm not entirely sure, but I think D makes sense because detailed forecasts would help in a finish-to-order setup.
GE
Gerald
6 months ago
I remember a practice question about training needs in distribution centers. I feel like C could be a possibility since they might need new planning processes.
EL
Eliseo
6 months ago
I think the transition to finish-to-order means they won't need as much inventory, so maybe A is wrong?